BELGRADE, Mont.--(BUSINESS WIRE)--Lattice Biologics Ltd. (TSX-V:
LBL) (OTCQB:
LBLTF) (“Lattice Biologics” or the “Company”) is
providing this default status report in accordance with National Policy
12-203 – Management Cease Trade Orders.The Company’s audited
annual financial statements, related management’s discussion and
analysis and accompanying CEO and CFO certifications for the financial
year ended September 30, 2017 (collectively, the “Required Filings”)
would not be completed by the prescribed period for the filing of such
documents under Parts 4 and 5 of National Instrument 51-102 respecting
Continuous Disclosure Obligations and pursuant to National Instrument
52-109 respecting Certification of Disclosure in Issuer’s Annual and
Interim Filings, being September 30th, 2017.

As a result of this delay in the filing of the Required Filings, the
British Columbia Securities Commission granted a management cease trade
order (the “MCTO”) on January 30th, 2018 against the Company’s Chief
Executive Officer and Chief Financial Officer, rather than a general
cease trade order against the Company. The MCTO restricts all trading in
securities of the Company, whether direct or indirect, by the Chief
Executive Officer and Chief Financial Officer of the Company until such
time as the Required Filings have been filed by the Company. The MCTO
does not generally affect the ability of shareholders who are not
insiders of the Company to trade their securities.

The Company expects it will file the Required Filings by April 3, 2018.
The audit process is underway and the Company is working closely with
its auditors and expects to complete the remaining steps in order to
file the Required Filings as soon as possible.

The Company intends to satisfy the provisions of the alternative
information guidelines set out in sections 4.3 and 4.4 of National
Policy 12-203 Management Cease Trade Orders by issuing bi-weekly default
status reports in the form of further news releases, which will be filed
on SEDAR, until the Required Filings have been filed.

The Company confirms as of the date of this news release that there is
no insolvency proceeding against it and there is no other material
information concerning the affairs of the Company that has not been
generally disclosed. The Company would file, to the extent applicable,
its next default status report on or about March 28, 2018.